ShepherdPie 5th Gear January 16, 2013 Share January 16, 2013 iskandar can be considered a higher risk side due to nothing really taking place there now. Peter Lim is going in as a developer so you can take the cue from there according to your ability. don't bite more than you can chew. Dun be caught.. when big players exit, and you are struck.. ↡ Advertisement Link to post Share on other sites More sharing options...
Mustank Hypersonic January 16, 2013 Share January 16, 2013 21 year old atas condo in D9 is different from 10 year old EC in hougang built by China construction firm Ec mah, what you expect, ai pee ai chee go ai tuA liap nee Link to post Share on other sites More sharing options...
Oblong 3rd Gear January 16, 2013 Share January 16, 2013 Most of the flippers are infact property agents. They grab the units first and release the remaining to public. All thanks to them that artificially inflated the demand and prices. I believe oversupply already kicks in, and will be worsen over the next few years. If prices start sliding from now and over 10% over the next 12 mths, those flippers can kiss goodbye to their profit. One of the more incisive and sincere comments i feel in such property threads. The Kubler Ross model or the 5 emotional stages of grief are: denial; anger; bargaining; depression; and, acceptance The following graph was shown when they introduced CM6. The policy makers do know something but didn't want to be too blunt. Link to post Share on other sites More sharing options...
Wyfitms Twincharged January 16, 2013 Share January 16, 2013 interest rate low .. you still need to pay 3k for a 1.2 mil unit.. if you cannt rent out, effective you are bleeding.. its not a matter of yield....... if you bleeding 3k a mth, will you continue to hold? put in the bank, you dun see blood.. just inflation sucking you slowly.. Imagine, you earn 20k, every mth you lose 3k for "nothing" ... you will let go to realised your profit .. no matter what.. That scenario is unlikely for now. No takers at 3k then lower asking rent to 2.5k. Still no takers then i'm sure 2k will do the trick. Then only bleed $1k a mth, that's a small price to pay for expected 50% capital appreciation over the next 5 yrs. 1.2m is probably 3-bedder suburban condo. A master leasee can rent it at 2k and lease out the other 2 rooms at $800 to $1,000 each. Nowadays HDB rooms are already asking for $600 - $800 depending on location. Demand is there. If pocket not so deep then buy a shoebox at $800k. Monthly debt service prob under $2k. Easy to find tenants. Link to post Share on other sites More sharing options...
ShepherdPie 5th Gear January 16, 2013 Share January 16, 2013 (edited) That scenario is unlikely for now. No takers at 3k then lower asking rent to 2.5k. Still no takers then i'm sure 2k will do the trick. Then only bleed $1k a mth, that's a small price to pay for expected 50% capital appreciation over the next 5 yrs. 1.2m is probably 3-bedder suburban condo. A master leasee can rent it at 2k and lease out the other 2 rooms at $800 to $1,000 each. Nowadays HDB rooms are already asking for $600 - $800 depending on location. Demand is there. If pocket not so deep then buy a shoebox at $800k. Monthly debt service prob under $2k. Easy to find tenants. 1.2m condo .. rent add up $3.5k... then no need to pay pty tax.. it's almost $200 a mth, then you have $300-400 maintance + sinking fund, on top of that your rental is taxable! how abt agent fee and vacant period. .. you under gong tao liao.. So even if you rent out at $3.5k , you hardly cover your cost. IF everyone under gong tao to sell, believe no one will hold. Capital appreciate will only happen in the next cycle. Edited January 16, 2013 by ShepherdPie Link to post Share on other sites More sharing options...
Mustank Hypersonic January 16, 2013 Share January 16, 2013 1.2m condo .. rent add up $3.5k... then no need to pay pty tax.. it's almost $200 a mth, then you have $300-400 maintance + sinking fund, on top of that your rental is taxable! how abt agent fee and vacant period. .. you under gong tao liao.. So even if you rent out at $3.5k , you hardly cover your cost. IF everyone under gong tao that sell, believe no one will hold. Capital appreciate will only happen in the next cycle. Where got people stay HDB rent out condo one? Sure is the other way one lah Link to post Share on other sites More sharing options...
Darryn Turbocharged January 16, 2013 Share January 16, 2013 Where got people stay HDB rent out condo one? Sure is the other way one lah That'll be me! Won't move from HDB Link to post Share on other sites More sharing options...
ShepherdPie 5th Gear January 16, 2013 Share January 16, 2013 (edited) Where got people stay HDB rent out condo one? Sure is the other way one lah i just talking abt simple ROI.. you pay so much mortgage/fee/tax... and your expected income.. Once the ROI does not make sense.. some ppl will start to sell while it still look goods... other will follow... and then everyone will be selling..... same now.. cos' ROI was good.. so some buy and make $$.. other follows.. then now everyone wants a rental income.. Actually i think interest rate is not going to kill this bull...sentiment is .. Edited January 16, 2013 by ShepherdPie Link to post Share on other sites More sharing options...
Mustank Hypersonic January 16, 2013 Share January 16, 2013 That'll be me! Won't move from HDB If your condo too small or not convinent then of course lah Where got people buy brand new house to rent out to tiong kia, pinoy, of course ownself stay ownself enjoy swimming pool. Old HDB rent out to ah tiong, things spoil also not so heart pain Link to post Share on other sites More sharing options...
Throttle2 Supersonic January 16, 2013 Share January 16, 2013 Where got people stay HDB rent out condo one? Sure is the other way one lah Got lah. Got plenty of ah siao , money craving people in MCF.... Stay in HDB but get condo to rent out. Deprive the needy of their HDB *shake head* These are the ones who cause the social problems Who are you in here , kee chiu! Link to post Share on other sites More sharing options...
Mustank Hypersonic January 16, 2013 Share January 16, 2013 i just talking abt simple ROI.. you pay so much mortgage/fee/tax... and your expected income.. Once the ROI does not make sense.. some ppl will start to sell while it still look goods... other will follow... and then everyone will be selling..... same now.. cos' ROI was good.. so some buy and make $$.. other follows.. then now everyone wants a rental income.. Actually i think interest rate is not going to kill this bull...sentiment is .. Heartland upgrader thinking is as long as: Cpf + HDB rental income + any disposal cash > mortgage Can already, jit Tao tan Liao Link to post Share on other sites More sharing options...
Wyfitms Twincharged January 16, 2013 Share January 16, 2013 Where got people stay HDB rent out condo one? Sure is the other way one lah I'm thinking of doing that... cos i'm too poor to afford a decent sized condo. only mickey mouse unit so can only use it as investment ppty. Link to post Share on other sites More sharing options...
ShepherdPie 5th Gear January 16, 2013 Share January 16, 2013 (edited) Heartland upgrader thinking is as long as: Cpf + HDB rental income + any disposal cash > mortgage Can already, jit Tao tan Liao no, heartland thinking... Everyone make $$ in this.. i also will make $$... no need to count one.. once sentiment changes.. it's game over liao. Edited January 16, 2013 by ShepherdPie Link to post Share on other sites More sharing options...
Mustank Hypersonic January 16, 2013 Share January 16, 2013 Got lah. Got plenty of ah siao , money craving people in MCF.... Stay in HDB but get condo to rent out. Deprive the needy of their HDB *shake head* These are the ones who cause the social problems Who are you in here , kee chiu! I suspect these are the mm one lah Mm how to house a proper family These type boh pian, continue stay HDB lor Link to post Share on other sites More sharing options...
Mustank Hypersonic January 16, 2013 Share January 16, 2013 I'm thinking of doing that... cos i'm too poor to afford a decent sized condo. only mickey mouse unit so can only use it as investment ppty. Ahhhhh these type mm one ah, sheeperd pie theory sure true, once rental cannot cover, sure lam pah geh teo Link to post Share on other sites More sharing options...
Wyfitms Twincharged January 16, 2013 Share January 16, 2013 1.2m condo .. rent add up $3.5k... then no need to pay pty tax.. it's almost $200 a mth, then you have $300-400 maintance + sinking fund, on top of that your rental is taxable! how abt agent fee and vacant period. .. you under gong tao liao.. So even if you rent out at $3.5k , you hardly cover your cost. IF everyone under gong tao to sell, believe no one will hold. Capital appreciate will only happen in the next cycle. U forget that ppl dun consider CPF $$ as own $$. Use it to pay for bank loan not heartache at all... So if monthly debt service is $3k and can use $2k from CPF to pay, then cash outlay is only $1k a mth. Adding on all the maintenance, taxes etc prob about $2k. So rent out at $2k can cover liao right? nowadays cycles are only 5 yrs so very fast come one... dun worry. Moreover, Bernanke will continue to keep interest rates low for a loooooong time to come. Link to post Share on other sites More sharing options...
Blueblack Neutral Newbie January 16, 2013 Share January 16, 2013 The current rental market is from 2.5 ~ 4.5 % yield. There are abundant professionals working in Jurong and CBD which till require a roof, personally in my company here there are already 100 of this so called FT or professional staying in some condo somewhere. So like what forumer Wyfitms said the rental may just dip a little to 2~3% yield when they can't find better paying tenant. Now for those rich man - earning between 2~3% yield in property or put your $ in Singapore blue chip company earning 4~5% yield but at the same time still losing capital gain due to inflation of 5%. The choice was obvious people will choose Property in the past. With this measure maybe it will cause a knee jerk. But something is still telling me that the 700 billions the Japanese government releasing to the market will still eventually come here as the safest market. Now where the money can go now ? Link to post Share on other sites More sharing options...
Wyfitms Twincharged January 16, 2013 Share January 16, 2013 (edited) Ahhhhh these type mm one ah, sheeperd pie theory sure true, once rental cannot cover, sure lam pah geh teo No worry, can ask parents for help. Nowadays parents are very cash rich (or asset rich if they have a paid up HDB). Edited January 16, 2013 by Wyfitms ↡ Advertisement Link to post Share on other sites More sharing options...
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